M/S GOLDEN TOBACCO LTD. (FORMERLY KNOWN AS GTC INDUSTRIES LTD.) Vs. BOARD FOR INDUSTRIAL AND FINANCIAL RECONSTRUCTION AND ORS.

JUDGEMENT

(1.) In this writ petition the petitioner has challenged an order dated 17th June, 2016 passed by the learned Registrar of the BIFR (Board of Industrial and Financial Reconstruction) in a Reference made by the petitioner under Sec. 15(1) of the Sick Industrial Companies (Special Provisions) Act 1986, hereinafter referred to as the SICA and an order dated 23rd Aug., 2016 passed by the learned Secretary of the BIFR, dismissing an appeal therefrom.

(2.) The petitioner, a company incorporated under the Companies Act, 1956, which was formerly known as GTC Industries Ltd., carries on business inter alia of processing tobacco and manufacturing cigarettes. On 23rd July 2008, the name of the petitioner was changed to Golden Tobacco Limited, which is its present name. It is pleaded that some time in 1996, the net worth of the petitioner company was completely eroded and it became sick. Accordingly, a reference was made to the BIFR under Sec. 15(1) of SICA, which was admitted and registered as BIFR case No.17/1997.

(3.) On 16th Dec. 2002, the BIFR sanctioned a scheme for revival of the petitioner company. However, on or about 29th June 2007, BIFR discharged the petitioner company from the purview of SICA, as its net worth had, in the meanwhile become positive.